[iwar] [fc:Pakistan.seeks.China's.help.to.become.IT.power.-.PTI]

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Date: 2002-07-03 21:09:30


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Date: Wed, 3 Jul 2002 21:09:30 -0700 (PDT)
Subject: [iwar] [fc:Pakistan.seeks.China's.help.to.become.IT.power.-.PTI]
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Pakistan seeks China's help to become IT power 
 
PTI  
Beijing , 30-06-2002  
  
China has agreed to help Pakistan to realise its dream of becoming an Information 
Technology (IT) power by expanding cooperation between the two all-weather friends 
in areas like science and technology and software development. 

The two sides signed a memorandum of understanding (MoU) this week for cooperation 
in the field of IT with particular emphasis on software development, official source 
said. 

The agreement was inked during Pakistan Minister for Science and Technology Atta-ur-Rehman's 
visit to China. 

Under the MoU signed between Pakistan Software Export Board and China's ZGC Software 
Park, the two sides would explore business opportunities in software parks of the 
other country and endeavour to set up their offices in these parks. 

Rehman, who had separate meetings with China's Minister for Information Industry 
Wu Jichuan and Minister for Science and Technology Xu Ghuanhua, has sought China's 
active help in propelling Pakistan's IT industry. 

He told China's official Xinhua news agency that Pakistan welcomes investment from 
Chinese IT companies while Pakistani companies are preparing to establish joint ventures 
in China. 

"The IT in Pakistan, especially the software industry, has numerous advantages, 
including advanced technology and extremely low costs," he said. 

Software developed by Pakistani engineers is exported to Europe, America and the 
Middle East, "but compared with India, the cost of our labour is only about one third," 
Rehman said, adding the annual salary of a programmer in Pakistan is about $2,500, 
while in India it amounts to $6,600 dollars. 

Meanwhile, source said China and Pakistan have agreed to undertake a joint action 
plan to achieve rapid growth in science and technology under which necessary funds 
and technical support would be given to implement the plan in collaboration with 
the private sector. 

Source said the action plan would cover a wide range of areas in the fields of biotechnology, 
IT, pharmaceuticals and material sciences. 

Pakistan has already prepared an action plan which would be submitted soon to the 
Chinese government for support. 

The action plan would require initially about $10 million. Besides this there will 
be a revolving fund of $1 million to meet the concurrent expenditures. 

The two governments decided to contribute equally to this fund, according to the 
bilateral agreement signed in December last year, during President Pervez Musharraf's 
visit to China. 

China has also agreed to support Pakistan for setting up a telecommunication university 
in Islamabad and assisting in establish a chip design centre and strengthening telecommunication 
network in Pakistan. 

So far, some Chinese companies, such as Zt and Huawei, have established operations 
in Pakistan, with their business accounting for 20 per cent of Pakistan's telecommunications 
market. 
 

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